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Sweden: Salling Group sells Netto stores to Coop

Date : 10 May 2019

Denmark based Salling Group has announced the sale of the 163 Netto stores it operates in Sweden to Coop Sverige. For the Danish retailer it’s a strategic decision to focus investments in other markets, while Coop will strengthen its position as the second largest retailer in Sweden.

The agreement will need to be approved by the Swedish competition authorities, but it is unlikely that it will face many issues.

Salling Group to focus on other markets

The sale of the Swedish business enables Salling Group to step up its investments to roll out the Netto 3.0 concept in Denmark, Germany and Poland. Subscribers can see in-store of the new concept in our store visit.

“We are very pleased with the agreement, which means that we can increase investments in fewer markets and further focus our company on the benefit of customers in Denmark, Poland and Germany” Per Bank, CEO of Salling Group

Salling Group plans to invest more than DKK1bn (€135m) in its Netto stores across its three remaining markets in 2019.

Coop to strengthen its presence in south of Sweden

The deal will lead to the Netto stores being integrated under the Coop supermarkets banner after a transition period. It’s a strategic development for Coop Sverige, which will strengthen its presence in the south of the country.

Currently, most of Coop Sverige’s 650 stores are franchised. The addition of the 163 Netto stores will be an important move for the retailer as it will be in the new position of owning nearly half of the group’s 793 stores.